Dodla Dairy Limited has disclosed the receipt of an order from the Income Tax Department pertaining to the Assessment Year 2017-18. The order, passed under Section 270A, concerns the levy of a penalty without considering the merits regarding disallowance u/s 14A and interest expenditure. The quantifiable impact of this penalty order on the company’s financials is estimated to be INR 12.2 Lakhs. The company is currently evaluating its options for further action against this assessment.
Income Tax Department Assessment Order
Dodla Dairy Limited has formally reported an action taken by the Income Tax Department. The Assessment Unit issued an order under Section 270A of the Income Tax Act, 1961, pertaining to the Assessment Year 2017-18. This order levied a penalty without considering the merits of the case, specifically related to the disallowance of expenditure under section 14A and associated interest expenses.
Date of Communication and Financial Impact
The company officially received the communication and the order on February 23, 2026. The announcement was made on February 24, 2026. The quantifiable impact of this penalty order on the entity’s financial activities is estimated to be INR 12.2 Lakhs. The company confirmed that there were no alleged violations or contraventions of other statutes mentioned, making the matter Not Applicable in that context.
Next Steps for the Company
Dodla Dairy Limited is currently in the process of evaluating further action against the penalty order issued by the Assessing Officer. The company assures stakeholders that the disclosure is being made in compliance with mandated reporting requirements.
Source: BSE
